OTTAWA — The heads of Canada’s five “supercluster” groups are pushing back against a recent report that highlighted spending delays in their program, claiming the study doesn’t properly account for a host of recent contracts that dramatically improves their progress.
Earlier this week, the Parliamentary Budget Officer released a report showing that spending levels under the government’s $950-million Innovative Superclusters Initiative (ISI) had lagged behind projections, feeding criticism that the Liberal government had again failed to meet its lofty promises to taxpayers.
Industry Minister Navdeep Bains announced the ISI program in 2017 in an effort to establish five so-called “superclusters” — industry lingo that describes a compact group of researchers, investors, government, and private firms that collaborate in order to fund and commercialize innovative technologies.
The heads of the superclusters acknowledge that the report was accurate on several major metrics, but didn’t include hundreds of millions in spending commitments secured in recent months. A sizeable chunk of those contracts were designated for COVID-19 emergency spending projects, which were funded entirely by public dollars.
According to an analysis by National Post, which interviewed the CEOs of all five supercluster groups, combined public and private spending commitments on projects under the program now totals $998 million, well higher than the $277 million cited in the PBO report.
Of the $998 million, federal coffers contributed $439 million, or nearly half of their five-year, $918-million budget for the program. Private companies contributed $524 million, while the remaining $35 million came from research institutions and lower orders of government.
Representatives of the superclusters say the discrepancy is largely due to the PBO using data as of March 6, before many of the groups had published their 2019 annual reports. Government officials, for their part, had few answers as to why the federal Industry department declined to provide updated information to the PBO, which did not publish the superclusters report until months later, on Oct. 6.